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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Reginald Middleton who wrote (12693)	11/29/1998 9:20:00 PM
From: DavidD	Read Replies (2) \| Respond to of 74651

< how does the market quantify the risk of treasuries, investment grade corporates, high yield bonds, and emerging market debt? Yoou extrapolate the markets risk premium for equities in a similar fashion. No you don't. Corporate securities analysis is very different from government debt. The skills are completely different. You don't see star bond traders moving to the equity side very often... 10 years of LBO credit analysis for a $200 million fund (sub of a NY bank) underwriting mezz debt with equity kickers as an associate and then a VP tells me so. We never made an investment without visiting factories, sales offices, distribution centers, and meeting with suppliers, distributors and customers. How many empty parking spaces in a distribution center is more important than how you calculate EBIT or how the companies book correlates with it's price over time because it is an early indication of what book or EBIT will look like next year. Also, the Yahoo! rev to market cap correlation is as about a useless stat as I have ever seen. If you sell services to institutions, why do you lurk on the MSFT thread (a small investor thread)? Are you a paid by them to do so as part of their FUD marketing schemes?